By Héctor O. Rocha
Entrepreneurship and neighborhood improvement goals to make a theoretical and useful contribution assembly the necessity for stories at the impression of clusters on entrepreneurship and societal results. This ebook goals to reply to the subsequent examine query: Do clusters topic to entrepreneurship and entrepreneurship results on the societal point?
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Extra info for Entrepreneurship and Regional Development: The Role of Clusters
What follows is the answer to the core questions of this book and a summary of what remains unanswered. 1 Is the level of entrepreneurship in regions with clusters higher than that of regions without clusters? Why? Yes, regions with clusters or strong regional clusters have more start-ups than regions without clusters in Germany and the US ∗ This section draws heavily from Rocha (under review). 3 In a nutshell France UK Austria Scandinavia New Zealand US Canada Europe US Sweden Germany Space Scope Start-ups Case studies based on political boundaries Growth in the number of new and small firms Nanotechnology High-tech Biotechnology Life Science Engineering High-tech ICT Employment growth GDP/capita LQ 18 Employment growth Employment growth Employment growth subject to social security Regional development LQ and I/O tables17 Start-ups Start-ups New plants LQ and I/O tables LQ and expert opinion Cluster All All Survival of Telecom, new firms financial services, IT, medical equipment, and pharmaceuticals All Industry/sector Entrepreneurship Yes Yes Case studies Descriptive Quantitative panel fixed effects Positive correlation but for GDP/capita Yes20 Not clear in the case of Austria Yes19 Not clear in the case of Scandinavia Yes N/A Yes Yes Do clusters and entrepreneurship matter to regional development (employment)?
Agglomeration literature (Delgado, Porter, and Stern, 2010), which use industrial agglomerations rather than clusters as the units of analysis. What follows is an explanation of these divergent impacts of clusters and industrial agglomerations on entrepreneurship. Both economic and socioeconomic reasons explain these results. The positive contribution of clusters and the ambiguous impact of industrial agglomerations on entrepreneurship at the regional level suggest that the Introduction 33 economic benefits derived from a critical mass of firms within a region is not enough to foster entrepreneurship.
For instance, a model with regional development as the dependent variable, and regional entrepreneurship and national level entrepreneurship as independent variables, exemplifies this case. 9 The second issue is called ‘reductionism’ and is related to the definition and explanation of a phenomenon or a theory by other phenomena or theories at either the same or at a different level. Clusters, entrepreneurship, and 14 Entrepreneurship and Regional Development development have been studied at different levels and face the challenge of reductionism, which is analysed in the next section.